WI · OJT

How Wisconsin OJT Reimbursement Actually Works for Employers

Wisconsin has no state-run OJT wage subsidy for general hires. OJT runs through WIOA and your local workforce development board: you sign a contract before the hire and the board reimburses part of the trainee's wages. The federal baseline is up to 50%, or 75% with documented reasons. Wisconsin also holds a DOL waiver, through June 30, 2028, that lets boards go up to 90% for employers with 50 or fewer staff, if the local board's policy allows it. The state vocational rehabilitation office runs a separate 50% wage program for hires with disabilities.

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State pre-filled: WI
Program type pre-filled: OJT

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HOW IT WORKS

Four steps, in this order.

1
Call your local board's business services team before you make the hire
2
The board checks the trainee's eligibility and agrees a written training plan and wage rate
3
Sign the OJT contract, hire and train for the agreed period
4
Send payroll and time records; the board reimburses you

3 VERIFIED PROGRAMS

Where the Wisconsin money comes from.

Run by Wisconsin DWD Division of Employment and Training (policy) and your local workforce development board (contracts and payment). Every figure is from an official page, linked on each card.

WIOA On-the-Job Training through your local workforce development board

Up to 50%, to 75% or 90% where the board allows

THROUGH YOUR LOCAL BOARD

WHAT YOU GET

Wage reimbursement for the training period. You do not have to document your actual training costs.

HOW MUCH

Up to 50% of wages under WIOA. Boards may raise this to 75% using documented factors, and up to 90% for employers with 50 or fewer employees under a DOL waiver effective to June 30, 2028. Each board decides its own local rate.

WHO RECEIVES THE MONEY

The employer. You pay the trainee's wages as usual and the board reimburses part of them.

WHO QUALIFIES

The trainee must be WIOA eligible and approved by the board
Each trainee needs a unique written training plan, not a copy of past plans
Already-employed workers qualify only for new technology, new procedures or a job upgrade
No pattern of failing to keep past OJT trainees as regular employees

Before you start: Yes. The board must sign a contract before the hire. Any rate above 50% needs board approval and documented factors in the contract.

DWD Division of Vocational Rehabilitation (DVR) On-the-Job Training

50% of wages for 90 days; 100% for students

THROUGH YOUR LOCAL DVR OFFICE

WHAT YOU GET

Reimbursement of wages for a permanently hired DVR client. Non-students: 50% of wages for up to 90 calendar days. Students ages 14 to 21: 100% of wages for up to 500 hours in 12 months.

HOW MUCH

50% of wages for up to 90 calendar days (non-students). 100% of wages for up to 500 hours in a 12-month period (students).

WHO RECEIVES THE MONEY

The employer, on a 30-day invoice and progress report, when it hires a DVR client.

WHO QUALIFIES

The hire must be a DVR client
Permanent full-time or part-time job of no more than 40 hours a week
Same wages and benefits as similar employees

Before you start: Yes. DVR must approve before you start the OJT hire and you sign an OJT Hiring Initiative Agreement.

WisTRAIN on-the-job training costs (advanced manufacturing and AI only)

Up to 80% of training-period wages, AI and advanced manufacturing only

ROUND 1 CLOSED JULY 13, 2026

WHAT YOU GET

Part of the trainee wages and trainer wages tied to a structured training period, only in advanced manufacturing, AI and related fields. General onboarding does not count.

HOW MUCH

Up to 80% of eligible costs, capped at $6,600 per trainee and $330,000 per employer or consortium.

WHO RECEIVES THE MONEY

The employer or lead employer of a consortium, by reimbursement.

WHO QUALIFIES

Documented training plan and measurable skill gains
Only wages for structured training time, not productive work
Skills gap must be in advanced manufacturing, AI or related technology

Before you start: Yes. Costs before the signed grant agreement are not reimbursed.

LOCAL BOARDS

Same program, different rules by board.

Employ Milwaukee (Milwaukee County)

50% to 75% of wages depending on business size, with a maximum of $11 an hour. Contact the board before you hire.

SOURCE: EMPLOYMILWAUKEE.ORG

Forward Careers (WOW Works American Job Center network, Waukesha area)

Says businesses save an average of $4,500 per new hire. Length and reimbursement depend on the training needed and job complexity.

SOURCE: FORWARDCAREERS.ORG

WOW Workforce Development Center (Waukesha, Ozaukee, Washington)

New hire must be 18 or older, unemployed or underemployed, and without prior experience in the occupation or industry.

SOURCE: WFDC.ORG

AVOID THESE

What gets Wisconsin OJT claims denied.

Hiring first. The board cannot fund an OJT after the hire has started.
SOURCE: EMPLOYMILWAUKEE.ORG
Putting a current employee on an OJT contract when the job is not changing.
SOURCE: DWD.WISCONSIN.GOV
A history of not keeping past OJT trainees as regular employees.
SOURCE: DWD.WISCONSIN.GOV
Reusing an old training plan. Each plan must fit the trainee.
SOURCE: DWD.WISCONSIN.GOV
Paying above 50% without the reasons documented in the contract.
SOURCE: DWD.WISCONSIN.GOV

STRAIGHT ANSWERS

Wisconsin OJT questions.

How much of a new hire's wages will a Wisconsin board reimburse?

Up to 50% under WIOA, up to 75% when the board documents reasons such as employer size or trainee barriers. For employers with 50 or fewer employees, a DOL waiver lets boards go up to 90% through June 30, 2028, but only if local policy allows it. Check your board's rate. The DOL approval letter has a typo (June 20, 2028); DWD policy 8.5.4 says DOL confirmed June 30, 2028.

SOURCE: DWD.WISCONSIN.GOV

Do I have to prove what the training cost me?

No. The payment is treated as compensation for extra training cost and lower productivity. You document hours and wages.

SOURCE: ECFR.GOV

Can the board fund OJT for someone I already hired?

Usually not. Wisconsin allows it for employed workers only when the OJT covers new technology, new procedures or an upgrade to a job needing new skills.

SOURCE: DWD.WISCONSIN.GOV

Is there a Wisconsin OJT program for people with disabilities?

Yes. DVR reimburses 50% of wages for up to 90 days for a DVR client you hire, or 100% for up to 500 hours for a student client. DVR must approve before the hire.

SOURCE: DWD.WISCONSIN.GOV

How we checked. Every fact on this page comes from a state agency, a local workforce board or federal regulation, read on September 30, 2026. Where a board publishes nothing, we say so instead of guessing. Programs and funding change often; confirm with the program before you commit. Written by Jason Meehl, founder of Reimbursa. Found an error? Email hello@reimbursa.com.

OTHER PROGRAMS IN WISCONSIN

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